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12-Month Analyst Recommendations and Price Targets for Monsanto

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Analysts’ consensus

In this series, we’ve looked at 2017 estimates for Monsanto (MON) and compared its forward valuation multiple with its peers (SOIL).

In this final part of the series, let’s look at analyst recommendations and price targets for Monsanto for the next 12 months.

Analyst recommendations

Of the 19 analysts surveyed by Reuters, 11 of them have given Monsanto “strong buy” to “buy” recommendations. Seven have given it “hold” recommendations, and one has given it a “sell” recommendation for the next 12 months.

Let’s look now at the consensus price recommendation for the next 12 months.

Price targets

On December 7, 2016, Monsanto closed at $105.41 per share. According to the 19 analysts surveyed by Reuters, the median price target for Monsanto over the next 12 months is $126.50, which is ~20.0% higher than its current market price. It appears that, unlike the market, most analysts are optimistic that the Monsanto-Bayer deal will happen.

Let’s take a look at Monsanto’s peers. Analysts have a price target of $85 for Syngenta (SYT), which would mean an 8.0% upside from the company’s current price of $79.01.
 
In contrast, analysts have a consensus price target of $55 for FMC (FMC), which is 6.0% lower than its current market price of $58.20. Dow Chemical (DOW) has a price target of $62, which is 9.0% higher than its current market price of $56.90 per share.
 
For weekly updates, be sure to visit Market Realist’s Fertilizer Prices page.

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